Long service leave is an important benefit that recognises employee loyalty with extended paid time off. It’s available to eligible workers who stay with the same employer for several years, often between 7 to 10, depending on local laws and industry rules. This guide explains who qualifies, how entitlements are calculated and what steps to take if issues arise.

A quick guide to long service leave

This form of paid leave is not granted annually but accumulates over many years of continuous service with the same employer. It can apply to full-time, part-time and even regular casual employees. Since long service leave is regulated by each state or territory, the length of service required and conditions for early access can vary. Some workers in industries like construction or contract cleaning may also have access to portable entitlements.

Understanding long service leave in Australia

Long service leave stands apart from annual or personal leave. It’s designed to reward long-term service, not short-term tenure or illness. While most other leave types renew each year, long service leave builds slowly and is typically used once during a long career milestone. Understanding this unique leave category helps both employers and employees plan for entitlements and compliance.

How long service leave is different

Unlike annual leave, which accrues steadily from day one, long service leave builds up over a longer period. It is not about yearly entitlements but about rewarding long-term loyalty. Sick leave is for illness or injury. Annual leave is for rest. But long service leave is paid time off given for long-standing service.

Key differences include:

• Long service leave is once-off or infrequent

• Annual leave and sick leave renew each year

• Long service leave has specific rules in each state and territory

• Long service leave can be portable in some industries

Rules vary across Australia

Each state or territory has its own long service leave laws. Some align closely, while others have major differences. For example:

State/Territory	Minimum Service Period	Entitlement	Pro-rata Access	Notes
Victoria	7 years	8.67 weeks	Yes	Leave accrues at approximately 0.866 weeks per year; pro-rata access after 7 years.
New South Wales	10 years	8.67 weeks	Yes	Pro-rata access after 5 years upon termination due to illness, injury, or other special reasons.
Queensland	10 years	8.67 weeks	Yes	Pro-rata access after 7 years upon termination for reasons other than misconduct.
South Australia	10 years	13 weeks	Yes	Additional 1.3 weeks for each subsequent year of service.
Australian Capital Territory	7 years	6.0667 weeks	Yes	Additional 1/5 of a month per year after 7 years; includes portable long service leave.
Northern Territory	10 years	13 weeks	No	No pro-rata access before 10 years.
Tasmania	10 years	8.67 weeks	No	Additional 4.33 weeks for each subsequent 5 years of service.
Western Australia	10 years	8.67 weeks	No	Additional 4.33 weeks for each subsequent 5 years of service.

These variations make it important to understand your local long service leave legislation. You should also check if you fall under a national award or agreement with extra terms.

Who should read this

This article is for:

• Employers who need to stay compliant

• Employees wanting to know their entitlements

• HR teams tracking service records and accrual

We’ll cover:

• When employees are entitled to long service leave

• How leave accrues and what counts as continuous service

• Special rules for portable long service leave

• How to calculate entitlements and payments

• What to do if you need to make a claim

If you’re managing or taking long service leave, this guide will help.

Who is eligible for long service leave?

In Australia, long service leave applies to a broad range of workers, including full-time, part-time, and casual employees. Eligibility is primarily based on continuous service with the same employer or within a recognised group of employers.

You may qualify for long service leave if:

• You've worked for the same employer or a related entity for a set period (typically 7 to 10 years, depending on your state or territory).

• Your role is regular and ongoing—even if you're a casual employee.

• You haven’t had extended gaps or unapproved absences that break your continuity.

What counts as continuous service?

Continuous service doesn’t necessarily mean working without any break. In most states and territories, it includes:

• Paid leave (annual leave, sick leave, long service leave)

• Approved unpaid leave (such as parental leave, within state time limits)

• Time off due to illness or injury, if supported by medical evidence

• Business changes where your employment continues under a new owner

• Transfers between companies in the same corporate group

Periods of unauthorised leave, lengthy unpaid breaks beyond the allowable limit, or resignation with a break before re-employment may reset your service, depending on local legislation.

When and how can you take long service leave?

You can take long service leave once you reach the minimum required service period with your employer. The length of time needed depends on your state or territory, but many employees qualify after 10 years of continuous work. Some states offer pro-rata leave after 7 years of continuous service.

Minimum service before leave starts

The most common requirement across Australia is 10 years of continuous service. However, some states allow long service leave to be taken earlier in specific cases, such as redundancy or illness.

Here’s a quick guide to when leave may start:

State or Territory	Leave starts after	Pro-rata available after
Victoria	7 years	Yes
NSW	10 years	Only after 5 years upon termination for special reasons
Queensland	10 years	Yes, in certain cases
South Australia	10 years	Yes
ACT	7 years	Yes

Leave options available

Once you qualify, you can take long service leave in:

• A single period of paid leave

• Split blocks (e.g. two weeks now, four weeks later)

• On a part-time basis (e.g. half pay for double the time)

Some awards or agreements may also affect how you take the leave. Always check with your employer or HR team.

Notice and approval rules

Employees must give written notice before long service leave is taken. Most states require at least four weeks’ notice. Employers can agree or, in limited cases, refuse or delay the leave. Refusals often need valid business reasons.

For example:

• In Victoria, employees must give 12 weeks’ notice unless the employer agrees to less.

• In NSW, leave can be delayed if it disrupts operations

If disputes arise, employees can make a claim with the Fair Work Ombudsman or their local long service leave agency.

Knowing your rights when taking long service leave ensures you enjoy your break without stress.

How absence from work affects long service leave accrual

Not all time away from work counts towards long service leave accrual. Some absences keep your service continuous. Others may pause it or reset the clock. The impact depends on your type of leave, how long you're away and your state or territory laws.

Types of absence and their effects

Authorised leave, such as paid leave or approved unpaid parental leave, often keeps your service continuous. But long breaks without approval or without pay might not count. This matters because years of continuous service are key to being entitled to long service leave.

Some states include periods of illness or injury. Others only count part of an unpaid leave period. You should always check with your employer or the long service leave agency in your state.

Absences that count towards accrual

These types of leave usually do not break service and will count for long service leave purposes:

• Annual leave

• Paid long service leave

• Paid personal or carer's leave

• Public holidays

• Paid or approved unpaid parental leave (varies by state)

• Compassionate or bereavement leave

• Defence service leave

• Community service leave (e.g. jury duty)

Absences that may reduce or stop accrual

These absences may pause accrual or break continuous employment:

• Unapproved leave

• Extended unpaid leave beyond the time allowed by law

• Resignation followed by re-employment after a gap

• Leave without medical evidence for illness or injury

Know your rights and check the rules

Rules vary by state and territory. In some cases, continuous service may still exist even if you're away. In others, the absence reduces the amount of long service leave you can accrue.

To avoid surprises, keep records of all leave and ask your employer for clarification. If unsure, contact the long service authority in your region.

Understanding the accrual of long service leave

Long service leave builds over time based on how long an employee works for the same employer. While entitlements typically apply after 10 years of continuous service, the leave often accrues progressively—calculated either monthly or annually, depending on your state or territory.

Most employees in Australia accrue approximately 0.8667 weeks per year, totalling 8.67 weeks after 10 years of continuous service. Some states also offer pro-rata leave after 7 years under specific conditions.

Why accurate records matter

Tracking accrual accurately is essential for both compliance and fair employee entitlements. Employers should:

• Record exact employment start dates

• Log any breaks in service or unpaid leave

• Track casual or part-time hours if the employee works regularly

• Use payroll or HR systems that calculate accruals correctly

Tools to support accrual management

Reliable time-tracking and payroll software can automate accrual calculations, reduce errors, and simplify compliance. Maintaining clear service records ensures employees receive their correct entitlements and helps prevent disputes.

What happens to long service leave during unpaid leave?

Unpaid leave can affect how employees accrue long service leave. Whether it does or not depends on the type of leave and which state or territory you work in. Some unpaid time away keeps your continuous service, while other types may pause your accrual of long service leave.

How unpaid leave affects accrual

Most long service leave laws allow short unpaid breaks without breaking your service. But longer unpaid leave—like extended personal time off—may not count. In some cases, your employer may decide to stop accrual during this period.

Here are common rules:

• Paid leave (annual, sick or paid parental leave) counts toward long service leave purposes

• Unpaid parental leave may count, but only for a set number of weeks (usually up to 12 months)

• Other unpaid leave, such as study leave or personal leave, might not count unless approved

• Time away due to illness or injury, even if unpaid, may count in some states if it’s backed by a medical certificate

Each state or territory has its own approach. For example:

• In Victoria, up to 52 weeks of unpaid parental leave counts as service

• In Queensland, certain types of leave count only if agreed in writing

• In South Australia, longer absences may affect your continuity of service

How to manage accrual during long absences

To protect your long service leave entitlement, follow these steps:

• Confirm leave type and rules with your employer

• Put leave requests in writing

• Keep records of approval and reasons for absence

• Use HR systems to log the exact period of leave

• Check your award or enterprise agreement

HR best practice

Good HR systems track service, breaks and unused long service leave clearly. They also flag when a break might affect your years of continuous service.

Employers should update staff records regularly and explain leave rules early. If in doubt, check with your long service leave agency in your state or refer to the Fair Work Ombudsman.

By following best practice, you can keep your worker’s service history clear and fair for both sides.

Portable long service leave: what it is and who qualifies

Portable long service leave allows workers to carry their leave entitlements across different jobs within the same industry. It protects workers who move from one employer to another but stay in the same field. This system is different from standard long service leave, which usually requires staying with one employer.

Portable long service exists to support employees in industries where short-term contracts are common. It recognises that workers in some fields can stay loyal to an industry, even if they switch jobs often.

Industries that offer portable long service leave

Not all industries have this system. You may be eligible if you work in:

• Building and construction

• Contract cleaning

• Security services

• Community services and aged care (in some states)

These fields have high worker movement. Portable schemes ensure that a worker’s leave continues to build, even if they switch jobs or employers.

How registration and eligibility work

Each state or territory runs its own portable long service leave schemes. You need to register with the correct body to accrue long service leave benefits.

State/Territory	Scheme Name	Covered Industries
Victoria	LeavePlus	Construction
Queensland	QLeave	Construction, cleaning, community
ACT	ACT Leave	Construction, cleaning, security
New South Wales	Long Service Corporation	Construction, contract cleaning

In New South Wales, a new portable long service leave scheme for the community services industry is set to begin on 1 July 2025. Workers in this sector should follow updates from the Long Service Corporation for registration details and eligibility.

Once you register, your worker’s service history is tracked. Employers make regular contributions to the fund. When you reach the required years of continuous service in your industry, you may be entitled to long service leave.

This portability of long service helps workers stay secure in fast-moving industries. It also ensures fairness for those who commit to a career, not just an employer. If you're in a covered field, check if you're registered. If not, speak to your employer or contact the long service body in your state.

What employers in contract cleaning and construction need to know

Long service leave works differently in contract cleaning, building, and construction. These industries rely on short contracts, rotating sites and frequent staff changes. Because of this, workers can qualify for portable long service leave instead of the standard system.

As an employer, you must follow the rules in your state or territory. This includes registering your business and paying contributions to the correct scheme.

Registration is not optional

In most states, registration is mandatory if your business operates in a portable industry. You need to:

• Register your business with the long service leave agency

• Report each worker’s service details

• Make regular contributions (based on hours worked or wages paid)

Failing to do so can lead to penalties and back payments.

Here are examples of schemes by state:

State/Territory	Scheme Name	Industry Covered
Victoria	LeavePlus	Construction
Queensland	QLeave	Construction and cleaning
New South Wales	Long Service Corporation	Cleaning and construction
ACT	ACT Leave	Cleaning, construction, security

Mistakes employers should avoid

These are the most common errors employers make:

• Forgetting to register with the correct agency

• Not reporting casual employee hours

• Missing contribution deadlines

• Assuming the standard long service leave act applies

These mistakes can affect your staff’s entitlement to long service leave. They can also create payroll risks and legal costs.

Tips for simplifying long service leave management

Managing long service leave can be complex, especially across multiple roles, projects or casual work arrangements. To stay compliant and reduce admin time, consider the following:

• Use reliable systems to track service across job sites or business units

• Keep digital records of start dates, breaks in service and leave balances

• Create and store documents that support LSL entitlements and payments

• Regularly review state and territory laws to stay updated with changes

• Train HR or payroll staff to manage leave requests and calculate entitlements accurately

Clear documentation and consistent recordkeeping help reduce errors, avoid disputes and support compliance with long service leave laws. This is especially important for growing teams or businesses in industries with high staff movement.

How long service leave payments are calculated

When an employee takes time off or finishes work, they may receive a payment for long service leave. The amount depends on how much leave they’ve built up and how their pay is worked out. Employers must calculate this carefully to meet long service leave laws.

When payment is made

Long service leave is paid:

• During the actual period of paid leave

• On resignation, redundancy or dismissal if the employee has accrued long service leave

• In some states, even if they have less than 10 years but more than 7 years of continuous service

The payment must reflect the employee’s usual earnings. If they leave before taking their leave, it is included in their final pay.

How to calculate the amount

Employers must use one of two methods to calculate the payment of long service leave:

• The average pay over the last 12 months

• The average pay over the last 5 years

The employee is paid whichever amount is higher. This ensures fairness if their hours or pay changed during the qualifying period.

What is included in the pay rate

The payment must include:

• Base hourly or weekly pay

• Overtime (if regular)

• Shift allowances

• Commissions (if earned consistently)

• Any other regular payments related to work

Bonuses and one-off incentives usually don’t count.

Example scenarios

Employee Type	Role	Leave Accrued	Average Weekly Pay	LSL Payment Method
Full-time	Retail manager	8.67 weeks	$1,200	5-year average
Part-time	Admin assistant	6.07 weeks	$600	12-month average
Casual employee	Barista	8.67 weeks	$750	12-month average (higher)
Commission-based	Sales rep	7.5 weeks	$1,000 (avg incl. commissions)	5-year average

Keep clear records

To ensure the correct amount of long service leave is paid, employers must keep accurate pay and service records. This supports compliance and avoids disputes when long service leave is taken or paid out at the end of service with an employer.

Managing accrued long service leave at termination

When an employee leaves a job, they may be owed accrued long service leave. This depends on how long they’ve worked and why their employment is ending. Each state or territory has its own rules, but most employees with at least 7 years of service may receive a long service leave payout.

What is accrued long service leave

Accrued long service leave is the leave an employee has built up over their years of continuous service. If they leave before using it, the employer must pay it out as a lump sum. This applies even if the employee is not yet at the 10-year mark, depending on the local long service leave legislation.

When pro-rata leave applies

Employees who have worked for at least 7 years but less than 10 years may get a partial entitlement. This usually applies when the job ends due to:

• Resignation (with valid reason)

• Dismissal (except for serious misconduct)

• Redundancy

• Illness, injury or death

Here are the general rules:

State/Territory	Pro-rata starts at	Conditions
Victoria	7 years	Applies to most reasons for leaving
NSW	5 years	Must be due to illness or special cause
Queensland	7 years	Resignation with valid reason accepted
South Australia	7 years	Applies in most termination cases
ACT	7 years	Broad conditions for payout

When long service leave must be paid

On termination, long service leave is paid:

• If the employee has reached 10 years of continuous service

• If they have 7 years continuous service and meet pro-rata conditions

• If they are entitled under an award or agreement

What employers need to do

To stay compliant, employers must:

• Keep full records of length of service

• Check local long service leave act conditions

• Pay all unused long service leave promptly on termination

If unsure, contact the long service body in your region for guidance. This ensures both sides follow the law and avoid future claims.

How to make a claim for unpaid or denied long service leave

If you believe you are owed long service leave and haven’t received it, you can take action. Every employee has the right to make a claim if they meet the long service leave entitlement rules in their state or territory. Following the correct steps helps you resolve the issue quickly and fairly.

Steps to make a claim

Start with these actions before taking formal steps:

1. Check your records: Confirm your years of service, leave balances and any previous leave taken. Gather payslips, contracts and approved leave forms.

2. Speak to your employer: Ask for clarification in writing. Keep your messages professional and clear.

3. Refer to your state’s long service leave laws: Visit your long service leave agency or check the relevant legislation. This will help you confirm if you are entitled to long service leave.

If your employer still refuses to pay:

4. Contact the Fair Work Ombudsman: Fair Work can help if your employer has breached a national award or the Long Service Leave Act under federal coverage.

5. Seek legal advice or contact a tribunal: You may be able to apply through an industrial relations court or state tribunal. Each state has its own process and time limits for claims.

Employer penalties

If an employer does not comply, they may face:

• Fines

• Orders to pay withheld amounts

• Damage to their business reputation

How Business Kitz helps

Business Kitz offers document templates to help both employees and employers. These can include:

• Written leave requests

• Entitlement summaries

• Formal complaint letters

These tools help resolve issues before they escalate. Clear records and communication can reduce conflict and protect your rights under long service leave laws.

Frequently asked questions

Can a casual employee get long service leave?

Yes. A casual employee can qualify if they work on a regular and ongoing basis. Their years of continuous service may count if their pattern of work is consistent. In some cases, long service leave is paid even when hours vary over time. If a casual employee changes to a permanent role with the same employer, service is not broken.

What happens if I change to a new employer?

If your job moves to a new employer through a business sale or restructure, your service is not broken. The leave does not break as long as you keep doing the same or similar work without a gap. This applies under most long service leave terms across the country.

What are common rules for contract cleaning industries?

In contract cleaning industries, workers often move between sites and clients. These jobs are covered by portable schemes like QLeave or the Long Service Corporation. Employees still build leave even if they work for different cleaning businesses. As long as their work remains in the same field, they may have an entitlement after enough time in the scheme.

What counts toward continuous service?

Years of continuous service may include paid leave, sick leave, unpaid parental leave (in most states), and time off due to injury. In Victoria, up to 60 weeks of continuous unpaid parental leave counts. Gaps from redundancy or company transfers may not break your service if you return to similar work soon after.

Can I get long service leave despite being in the role for less than 10 years?

Yes. Some states allow pro-rata leave after 5 years of continuous service. For example, under Victorian long service leave laws, you can apply after 7 years. In South Australian law, pro-rata leave may apply for resignations due to illness. You must check your state's rules to see if you qualify for long service leave despite not reaching the first 10 years.

Does long service leave apply to migrants or overseas workers?

Yes. Workers who have a long-term connection to Australia and their continuing connection to a local employer may qualify. Time worked before permanent residency might count, depending on the case. Entitlement depends on service length and local law, not citizenship.

What happens after the completion of 10 years?

After the completion of 10 years, most workers receive full entitlement to long service leave. You can then apply to take your leave or be paid out if you leave your job. In most states, this equals around 8.67 weeks. Additional leave may accrue if you continue working. Once long service leave taken ends, your entitlement restarts based on your total service.

How to simplify long service leave management

Managing long service leave can be time-consuming, especially with different rules across states and territories. A well-designed HR system can help automate accrual tracking, ensure compliance and reduce manual admin.

With the right tools, you can:

• Track employee service across roles and locations

• Create, sign and store compliant leave documents securely

• Automate workflows for approvals and recordkeeping

• Support HR, accounts and legal teams with shared access

For a simple and compliant solution, Business Kitz offers an all-in-one platform to manage long service leave with ease.